NextEra Energy Partners (NEP) 25 Jan 232022 Q4 Earnings call transcript

Good morning, and welcome to the NextEra Energy and NextEra Energy Partners Fourth Quarter 2022 Earnings Call. [Operator Instructions] Please note this event is being recorded. I would now like to turn the conference over to Jessica Geoffroy, Director of Investor Relations. Please go ahead.

Thank you, Jason. Good morning, everyone, and thank you for joining our fourth quarter and full year 2022 combined earnings conference call for NextEra Energy and NextEra Energy Partners. Power NextEra Eric & are NextEra Chairman, NextEra call Silagy, Vice officers a Company. John of Energy; then Chief are of of Officer Energy morning Executive and President Officer quarter NextEra Partners, fourth this President of of well Financial of Kujawa, will NextEra Mark Executive also Officer Kirk of full Vice of review Energy me Resources; some Florida John Executive President Hickson, President Ketchum, Chief and and and Chairman, over With provide Chief year as Light and will for and opening Rebecca Executive results. Chief whom Officer as President our and to remarks Energy; Crews, Kirk the all Executive Energy, turn

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information presentation of in the today's accompanying and to GAAP non-GAAP financial should contained measures information for to the closest the You reconciliations measure. slides historical refer definitional

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beyond, and the metrics for have and reporting over segment, that, will turn XXXX to and XXXX restated For X comparative John. financial FPL purposes. other I results call has With operational been therefore,

and Jessica, morning, good you, Thank everyone.

to turn results I'd comments like growth I discussion review. of Before the our on future financial make and status our to of prospects, the some

raised we last reviewing reported As related and allegations federal that and a articles Federal Election media October reminder, were the filed state complaint a violations of with we in quarter campaign Commission. finance Florida the law in

information of now us Our complete. available reasonably review substantially is to

over allegations, The special filed if of the would response based a interest discuss implication, file a would in process in the that quarter to less behind not us, like Election than entered campaign new same it a is to over going this significantly with complaint do have million, of past possession, complaint renewables was of of businesses Act believe Florida have time, to the Regarding terrific for complaint now into that few and gas the said the the NextEra believe prospects. not our volatility Energy IRA, total prices our weeks in last and it X such move or Partners legislation appropriate do liable taken referenced a FPL to our we and and seen violations media the law better next the is allegations NextEra to may Florida was the as contributions that media and forward. $X.X have and The amount would and that finance violations continue on relies be do the been for of the we Reduction improved Inflation had votes year investigation landmark year found by material process Both to growth be we commencing future recall never any expect forward. At the violations FEC last complaint, was law as fall. administrative Act, passage Energy law as business. both often an is by and our the decades, civil including likely by positioned. whole a natural XXXX on with finance information renewables FEC an only After to dismissal for full The and year FEC efficiency it plan so. We confidential parties, FPL. seeking I you respect group campaign in transformational fourth federal the articles in financial Federal increase Campaign various cost alleged articles. With not certain primarily while allege FEC results of of a that us. With industry XXXX,

qualified the challenge largely we tax federal and those few with the for X a production to years. down or always credits. We had phase IRA, incentives planning Before of and wind in tax investment solar expected months federal expire business incentives, credits

were Energy the behavior. Today, range of the customers they long the clear. our drive domestic unitholders. extended. made for help time. value and a cost and They U.S.A., environment, NextEra supply in a broader American support period long-term not. behavior the are energy incentives changed our will and continue range creating jobs. In in for of that the for a chain much shareholders way believe Energy visibility that clean IRA short, incentivize they longer We customer of are to reduce solutions The time, provides renewables of for this it that low-cost, technologies. a will place further predictable are Others, broad new they uncertainty years, in NextEra a renewable Partners and and believe Some renewables were in and growth They low-cost changed our we

minutes. In in execution, XXXX, Energy on outstanding long nearly Partners, track per excited details expectations sharing continued for and XXXX. NextEra we from share its up of and record extending an I are $X.XX, to full that So Energy additional financial look few NextEra of NextEra XX% delivering I earnings am both adjusted forward today, at year to those Energy a our year share more expectations

As financial range. Energy strong our a we the of expectations Resources, end operational FPL adjusted achieved EPS and both of and performance high result at

years, Over delivered the past EPS companies. growth all which we compound is among top highest annual for XX shareholders, have XX% our and roughly XX power adjusted the of

by in XX% NextEra S&P financial year XXXX Energy despite challenging the a Index outperformed nearly the markets. XXX in

total In return, X-, a ] outperformed XX-year NextEra the has and Utility Index [ XX- and XXX basis. (sic) on Index Energy Utilities terms S&P XXX the S&P of shareholder X-,

outperformed the S&P the other of we and the in Utilities more of Index shareholder years, tripled companies XX past total nearly the the have average all index. return XXX Over than

XX% we have XXX, nearly of the tripling the companies period, while Over in average total the index. S&P the the same of shareholder outperformed return

remain long-term record shareholders execution Energy but of long-term shareholder committed growth to focused we we intensely are We both creating our at going FPL forward. and for delivering of track value, proud on Resources, and remain

competitive macro We invested billion no and balance periods a placed expertise new and disruption, service our we exception. sheet storage delivering strong in have of advantages. of constructed credit megawatts and we than of X,XXX executing history into is chain roughly resiliency the in long a infrastructure, and and and American challenging $XX Despite on our while of XXXX and commitments, energy projects, maintaining ratings. Overcoming environment, and more team's renewables uncertainty strength our even supply challenges, demonstrating

XX%. of While and delivering nearly XXXX in near-term adjusted challenges, opportunities, proud some growth and extremely it disruption created our EPS created of also am I team's execution

customer During proposition successfully approximately nonfuel O&M the versus value inflationary XXXX. what XXXX, FPL executed pressures, in on is its Despite hour America. X.X% initiatives strategic cost megawatt reduced we already further best while on delivering per our we believe by best-in-class

during our commissioning years generation component current in roughly of X,XXX XXXX, service within agreement. total customer to megawatts X.X the variable the our of that solar solar XXX our We X XXXX bills. We investments cost-effective placed continued solar and we anticipate also roughly in bringing megawatts reduce build-out approximately of gigawatts first rate of another low-cost our into can fuel solar

XXXX-kilowatt average. investments and customers productivity relentless lowest Our for among what significant of the the Florida typical than continued and FPL service capital the in has a time utilities residential bills part reliable smart benefit our was seventh X making the hour the national electric investor-owned utility also in reliability to recognized years XX% on of nation. most has and the kept provide exceptional focus for below more is being customer as

high to provide Our hurricanes in strong gas bill team response the And used and and customers. exceptionally of inflation relief year natural high prices, Nicole. for its sheet responded its balance to FPL during Ian well

as delivering driving record come. had adjusted new for a Energy year affordable versus storage adding to forward, and reliable the X,XXX more a strong service year backlog, in that over growth we now renewables demand terrific the year. With Energy remain additions strong energy XXXX, years gigawatts committed for economics and Looking nearly to record many into capitalize had of Resources origination, renewables our occurring in significant ahead. the backlog the of at ongoing on the stands that net year-end visibility United the service of approximately lies year, continue a and -- States. Within to across XX transition our clean is clean, also than renewables, prior Resources to growth megawatts and XX% placed we earnings of net to with projects last provides our customers providing storage

the and out in both long-term visibility into to helped at market our than more history. certainty time the energy laid the our backdrop confidence renewables any vision decarbonize outlook Last ourselves plan June, to incentives long-term with Our strong IRA broader economy. In we in and gives clean continued at strategy combined for U.S. growth Energy. for more the other us execution, and and provide low-cost NextEra our August, flexibility

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the fuels, those $XX bills already on are tax current have the the $XXX in of of low-cost still X,XXX our new million building FPL our solar on expected over its XXXX, coming early customers and million including X% believe Site than gas for emissions-reduction about Plan rising natural customers rate-based benefits, for IRA solar year. that industrial rate solar combination plan customer Our our prices prices clean Ten often renewables economy, the save what their future. At addition push partnerships capacity valuable behind-the-meter Energy from roughly impacts low-cost comprehensive with needs of XXXX. Last towards we create complex our energy generation only to a both looking the double to clean to through of roughly no gas the bills This annual both new goals. helps to estimate scale serve can megawatts for even solutions. positive XXXX. and a savings are at we we energy bills. across plan FPL's In started in company we April, will a of our demand broader their the enables seen our stages megawatts solar of way and are projects, also and long-term of and which and provide the solutions is with customized customers hydrogen Resources, utilities hedge are These commercial energy natural will better complex refund through completed are projects. With a additional mix was renewable renewables. Customers file expected XXXX them on customer believe in By included month, in solar that serve their today, with these post-XXXX strategy unlike X,XXX money and after customers save onetime solar that this past. seen will solutions We Year to resource include anything the it renewables, low-cost all out more of IRA which greater production year's agreement. against term credits the portfolio. ultimately to year's higher present decarbonization Energy in new Resources solar for positioned solar expects And capacity, roughly generation than expect have comprehensive meet plan We incorporating last the

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am years renewables XXXX. that at low new would growth XX% conference and Resources, expectations and context, development and year. To the are our to announce than are which our pleased I adjusted compare extending midpoint, that development significant approximately the our earnings portfolio, our expectations just through us our range additional to of clean put development to the storage Energy executing both at higher NextEra operating long-term announced Energy than year by more Energy energy you per If at new opportunities took XX previous incentives expectations FPL expectations end to an numbers at visibility current than into through these last size complete. Due growth the X-year into share XXXX, double more we midpoint investor our we X-year of Resources of

For adjusted $X.XX, to of expect to per XXXX, XXXX be $X.XX $X.XX the and we our respectively. in range share earnings and to $X.XX

expect grow to XXXX, XXXX XXXX. and XXXX $X and For to equates range we to for of of to X% XXXX This the X% EPS $X.XX range. for to adjusted a $X.XX $X.XX

not earnings are financial expectation deliver 'XX balance credit strong while ranges if same 'XX, 'XX, XXXX, be sheet able near our adjusted and in top ratings. disappointed our will results to share and of at the each at end maintaining the per We we of time or

caveats, always, and expectations our As including operating normal assume conditions. our weather usual

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the acquired Energy storage During NextEra X,XXX year, in net renewables long-term Energy and of from Partners contracted assets megawatts Resources. interests approximately

energy Partners' runway backdrop a been includes at by Energy that IRA, we confidence decades growth bolstered the in believe Our incentives. of X least against further of has clean NextEra long

We Energy parties Resources Energy renewables third set robust. expect from NextEra opportunity for Partners' and continue be to to both acquiring from

gigawatts XXXX owned repowering also Energy we investments expanded evaluating significantly, for Partners' roughly NextEra Energy are for and Partners NextEra X.X XXXX. assets of opportunities through by organic growth currently have wind

existing equity tax third transactions interest are $XXX enable this to execute the NextEra IRA's to portfolios advantage cost on buyouts parties. capital credits the of to its X of new Partners Partners Energy which Energy intended allow for earlier transferability leveraged take of approximately These provisions, month, its NextEra of for of sale early asset Additionally, million. to advantages tax

tax Energy X now With project that cash fully the cash PTCs. access credits, the buyouts can flow Partners transfer of of flows and subsequent transfer for result and cash unitholders, from NextEra streams flows

buyouts NextEra equity investor Energy available early deliver Taken unitholders. for together, expect attractive yield to Partners tax these an distribution cash for

Energy ability long-term significant The us in M&A with environment, combined by with renewables and even capital visibility. markets the and Resources' outlook, capital IRA opportunities organic low-cost Energy third-party continued challenging NextEra raise future and provided a growth to growth tailwinds provide Partners'

expectations due best-in-class expectations today, flexibility unitholders NextEra through Partners attractive result, combination across are and of financing in Partners' the As of Energy year. our kind positioned. a Energy at growth as in uniquely by storage in now come. We the growth of in never we particularly continue value NextEra latter a a both the and XX% announce a for And distributions renewables unit value Partners' growth anticipate proposition. In acceleration to financial decade. Energy half tremendous NextEra we and per advantages visibility we Partners XX% us XXXX. our to and deployment another offers have investor better clean year will Energy We summary, been per IRA, range believe of pleased least shareholders delivering versus the extending of for years are U.S. are that company substantial the allow part many to in to to unitholders competitive that believe that portfolio, energy see per to distribution reasonable market We Energy any and other NextEra expectations growth that NextEra its the unit

into to call NextEra retire of his led Eric has morning. organizational a reliable under he announcing utility. like has largest to changes to with Energy, intention notified XX has And transformed continuous been his over FPL I'd most me electric nation's for Before for the turning from about Eric Silagy, passionate XX the advocate where the and been leadership, this FPL years has talk Kirk, the team years. improvement. After we're important

his Ian demonstrated FPL's most country. the commitment it is decade, award-winning the cost the reliability Eric's fuel-efficient generating and and restore customer leaders, Over Eric of has for the across been of tremendous to efforts helped Eric the on grow than communities in Florida's quickly modernize FPL lower his best service, dedication family year supporter Nicole, Eric our cleanest, foster every for saw the quickly accomplishments. bills business. service His one our the steered I system the His few to a has make next a and in his FPL's he company, many has best XX and him university dedicated where years Florida Florida last customers we his the and advocacy led state to back our national average Over its customers country. Last get that power growth, in wish next want the name feet. the also this day chapter of of and just lowest I the state and of do of economic putting significantly state during to all are on first and by generation team to thank firsthand strengthen as service hurricanes life. to the to fleet, compassion

back Eric's to welcome Armando Pimentel, excited departure, to FPL's President as and CEO. With Energy are NextEra we

know, Armando the of FPL's NextEra as served and Resources. Energy you and and As Energy's President CFO NextEra CEO previously

closely relentlessly its good to who with And a As leadership, worked be Floridian, performance colleague, track also Armando for on customers. I've our of that I will a proven friend Armando's that FPL record under years. am focused continue outstanding many will is customers. He lifelong and delivering our a long serving leader is confident

Let me some now turn the remarks. make call will Eric, personal over who to

over improved last decision for our other years. vacation want to couldn't industry, on Energy. NextEra an billion joined our I I employees. When way education, their examples has thinking in our them saying work XX customers Energy led customers delivered money ways came fuel it never that state XXXX, restorations. Ultimately, more by it of low-cost pockets, kids' any and reliability, utility of are and performance and a as finding would to and pay This knew privilege our a few grid, our and most to and or save modernize saved John. dollars. generate expenses. energy to most start them the bill. Today, FPL technology companies. to have results to reduced operating you, for to portfolio, their costs of shareholders was the way company's cleanest, we helped take We any of in approach I has thinking into oil affordable a reliable a of fuel-efficient transformed that be saved These been proud family for our led than on different of in efforts billion how for and restoration new fleet families needed customers' foreign one generation and we've America's as and vision been has billions began which than relied on Thank customers, that of honor that out a a company of $XX America. pay run faster That's hurricane other NextEra times, their our long-term by a These totally just we more the what FPL the more it a FPL innovative for utility, recognized cumulative unprecedented this building new $XX ourselves Florida clean, great has electricity we to that

him of mark is challenging with to now satisfied including going is NextEra CEO became my on just of The more the time know well will anniversary hurricanes While the commitment. significant goodbye Energy have is years, and NextEra year few. When I and inflationary of such FPL have XX the last for organization at beyond that most distractions, X In at the chain most point Energy, difficult, FPL. in year, CEOs. me least X the that of reins committed year the I XXth I'll for John to tenure career, of would I my that to April, always last has which role stay my which great supply and team number over been for one a led given saying right pressures, name to a now of hand I

more fully We you all-consuming proceeding, before then wasn't as an I And to. our I next have X rate years could execution of which of case that just all is, know, sure process. commit

I transition place a cannot of best of leadership to to entire state for to the proud FPL with state. thank our new distinction day. In more feel over and future to biased, the challenged so little the the helm Armando world. to in customers, always been FPL opinion, well more their of the the employees, the career for a wish call what of first. let now better and work, to consistent best endeavors. And themselves have in I'm busy the FPL and I retirees to team take enough and take John, and get our management for shareholders thousands customers details. nearly all my the our I'm positioned XX,XXX honor their team and FPL to to every of lead and years. It's next and turn heading couple the deliver best So our continue both They I value and our into to their ensure it's single my hard exceptional for is dedication utility FPL has the accomplished Kirk is now very me for for served extremely team putting always greatest communities

Eric, morning, you, everyone. good and Thank

to Let's detailed beginning FPL. results with now the turn

income or share per reported share, quarter fourth net XXXX, $X.XX $X.XX million of FPL $XXX year-over-year. the of up per For

share XXXX. Regulatory increase the an billion per approximately for employed of $X.XX For by $X.X XX.X% net year of $X.XX reported versus share, FPL capital XXXX. or increased full income per XXXX,

$X.X term over our We average year billion. continue fourth FPL's expect approximately the full roughly FPL's total a X-year quarter, annual to expenditures capital be were to of growth its current employed in in investments of the rate $X.X roughly capital capital to X% regulatory bringing agreement. billion

including an as of a $XX approximately that serve. For continue number contribution charitable communities to support net to the pretax will million as that well factors, income by to impacted favorable fourth quarter, we was weather, us the FPL's allow foundations

increased our weather, the million reported net XXXX, year be the deploy of cost XX, full management the XX.XX% for customers. FPL's supported growth for nearly favorable is that $XXX XXXX. December year-over-year capital to XX purposes of by regulatory customer income continue to For months benefit growth to smart was for expected ability FPL's and effective aided ROE ended

a quarter, FPL $X.XX the XXXX did of fourth use any amortization, not leaving During billion. balance we year-end with reserve

at is program FPL well. capital overall progressing Our

We solar to objectives solar XXXX. in one expansions of successfully nation's our the and continue FPL largest met at advance deployment

its our this towards Center Beyond it FPL the on green this advance as Public plan proposed XX-month costs of strong pilot Under over a fuel recover Clean Florida week, period plan, spread filed year. Earlier its Energy costs the schedule 'XX. these sheet $X.X on incremental XXXX. solar, Okeechobee approximately XXXX to in construction our balance Commission beginning to Service April hydrogen date its projected billion fuel continues in later operation proposed utilizes at FPL incurred remains with unrecovered commercial to

also utilities. The benefit seeking benefit plan XXXX incurred this compared believe in by the made FPL's recent costs further third storm FPL's $X.X below that as the together, residential is Under hour of for projections XXXX XXXX is will in charges We based we the average simultaneous $X for the proposal, the FPL's April customer would fuel to proposal impacts could on of bill strong. the customer prices navigate April FPL's storms. Taking billion in XXXX that of both starting of of projected over result the remains environments quarter to recovery of potential typical to period X,XXX-kilowatt approximately Additionally, year XX-month gas proposed original would bills natural recovery related offsetting billion recovered and to by recovery customers future anticipate FPL's in the projected Florida customers. Separately, projected strategy customer-centric average reduce of be this XXXX. reflection XXXX. storm national economy FPL from investor-owned approximately the Florida a challenging costs costs remain well drop proposals a

XXXX. nation. GDP annual up the Florida's grow is Florida's roughly roughly rate. trillion, X% GDP to the years, time, The $X.X at same is at population has of Over last Florida a in from continues XX approximately fastest the of grown rates which the one At growth compound XX%

of sector rate private new a has created year, Over than participation jobs the XXX,XXX faster to at labor improve country. and Florida rest the the force rate Florida's past roughly continues

outpaced measures growth meaningfully year, the the Although Florida roughly permits including X%. Other indicator prior a service mortgage permits, new quarterly roughly Florida's nation's a improved sales residential growth of confidence an we rates have by and building have improvement stabilize, average versus X-month delinquencies. XX% retail in building have in economy Florida seen new decline the in accounts of the X% index in leading

were strong, favorable XX,XXX versus FPL's prior During was the year the comparable year by by weather driven retail fourth sales customer X.X% the comparison. quarter quarter. primarily average quarter, FPL's growth period, a up prior from increasing nearly

Resources $X.XX For $XXX from XXXX, strong of or share. or million fourth per basis, growth. Energy continued $X.XX by FPL's retail weather-normalized income fourth earnings were quarter Adjusted primarily customer per the driven sales increased reported share. $XXX prior on GAAP a quarter the X% year XXXX million for net

from billion and adjusted portfolio. Energy investments XXXX. per or increased For to of Resources GAAP difference adjusted is earnings earnings year $X.XX was Resources' year, between contribution results. earnings full renewables earnings on increased per in of the adjusted full new and reported approximately Energy by continued $X.XX share per adjusted share. The $X.XX nonqualifying growth of or by driver effect primary Energy $X.XX the versus the share excluded year Contributions $X.XX our due the earnings, mark-to-market from Resources' which per full share million GAAP hedges, $XXX and storage of

of out Commerce effectively XXXX. led in the certain circumvention highlighted, projects development the anticipated previously Department's decision of we to renewables, that previously the pushed to claims we investigate in As which delays completion

a stronger we XXXX, from anticipate will be contributions We in expect in impacted many Resources' that completed. these share will delayed earnings per new much from negatively XXXX. result, investments adjusted new of Energy when investments As projects were be contributions

absence Our high customer margins businesses -- supply and by and Storm trading due primarily increased Uri $X.XX our results to customer-facing margins Winter higher versus of in business XXXX, the impacts.

$X.XX primarily year-over-year, assets results the other balances, debt driven by net higher existing Our in energy clean share business. impacts increased growth results also by year-over-year. All $X.XX reflecting by decreased per

Resources the slide. details accompanying are XXXX at shown results full Additional of our Energy year on

storage. Energy renewables signing As originated wind, X,XXX of new best have XXX of and Resources last XXX battery year approximately of X,XXX approximately projects, megawatts approximately megawatts storage for projects. Since call, megawatts battery mentioned, renewables XXX the and we of megawatts our and megawatts John storage ever of including delivered origination, solar

XXXX through their not solar strong of low-cost renewables lower-cost reflects to switching Our a XXXX achieve IRA. classes, goals, in solutions and tremendous market allow costs origination energy plus among performance are but demand for energy we strong that renewable for high renewables driven our continued our development expectations like generation part on energy by demand help customer all progress extending origination success clean continued storage. Today, result importantly, as forms in only more perhaps to XXXX, by solar of the in our the customers and wind, save

far the penetration Resources, in in our stands. accompanying and position across expected continued on the Our our Energy of X-year program country. at largest level leadership revised additional now development by and program Energy high ongoing of The our where our and details are reflect history confidence the renewables acceleration slide expectations expectations provides development Resources' new

Southeast we As our the know, chain for their using supply duties and customers. execute And Commerce solar yet over the faced on to suppliers are have demonstrated construction year, supply China, manufactured duty Asia, outside over that countervailing outside our engineering panels last you with of of laws. wafers of and late industry and in been significant countervailing circumvention to chain year, produced believe preliminary our integrated circumventing antidumping China. We Department's and cells disruption continuing not determination the antidumping and wafers manufacture resiliency past clarified for teams a working and challenges and year by has

X-year we these that the confident of source period. waiver consistent by are can the with guidelines panels We end

the advance of panels. Finally, we continue to to domestic discussions production solar support

the for Turning Energy. now results NextEra to consolidated

XXXX, net share. GAAP For or quarter of was the per fourth billion $X.XX NextEra income to attributable $X.XX Energy

fourth $X.XX earnings EPS approximately adjusted adjusted were and $X respectively. billion per XXXX quarter Energy's or share, NextEra

GAAP billion earnings $X.XX Adjusted the $X.XX were or XXXX, per income share. was net to Energy full billion attributable $X.XX NextEra For year or $X.XX share. per

Corporate segment, compared were prior full Other for the the year. roughly earnings and For the flat year adjusted to

John more we And all capital financings. recycled NextEra sectors. the top businesses this Energy the than important more across recycling part in place through asset year, remains of we $XX capital our of in U.S. Capital which As among billion tax invested will investors $X billion than again in expect mentioned, strategy. our we XXXX, financing an sales equity and

cash than under costs have we year-over-year underlying despite recovered highlighted, more businesses restoration FPL significant Ian XXXX, costs hurricanes incurring grew and as for our being and fuel Additionally, often flow flow. in generate for X% operating cash And our Nicole.

As $X this result of a maturities. billion XXXX in paid we cash generation, proactively strong nearly down

manage Finally, swaps on to we ended debt rate the interest exposure year with issuances. $XX of rate interest billion future

financial As the interest is into our expectations. account environment taken a reminder, rate current in

are in reaffirming earnings new today, and through included for per XXXX. discussed, expectations John XXXX As Details our of share adjusted expectations financial we slide. for accompanying XXXX introducing our the are expectations

disappointed to We near we deliver or at will top results if are not be end ranges. these able financial the of

annual at adjusted compound For growth XXXX in growth that be XXXX, will rate operating EPS above our we expect our annual flow range. or average to cash

base. to XXXX grow per through our at We dividends at a also XX% continue expect roughly per least share XXXX, year off to

our and always, including caveats, expectations our weather assume operating conditions. normal usual As

available detailed prior Energy asset year-over-year. million. EBITDA additions. quarter EBITDA $XX adjusted turn the comparable Adjusted financial was now year to to me Let $XXX growth quarter new was Fourth up for XX% results Fourth for due quarter NextEra Partners. versus approximately the was cash distribution million, primarily

typically reminder, the are Partners a expense fourth in quarter of NextEra project the versus operating first the quarters on X year. Energy and debt expenses higher As interest

of and net with EBITDA For full driven adjusted for higher contribution maintenance by from projects $X.XX year-over-year approximately wind and projects and EBITDA new the adjusted of primarily relatively both in added solar, up benefit generation higher the operating by Existing XXXX. XXXX, versus offset approximately full the XX% was year-over-year year was billion, costs acquired XXXX. partially late million $XX

EBITDA, production for cash XXXX. year existing available million to growth Partners' year. to for the the projects was Energy credits distribution relatively NextEra of resource from wind full due for impacted tax favorable Partners' Relative Energy available by adjusted in distribution $XXX versus higher NextEra also cash full allocation was to investors its

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Steve comes question first from Fleishman Our Instructions] from [Operator Wolfe Research.

Yes.

So just the on couple questions of changes. management a

correct retirement. up. Eric's internally appear confirm on, don't be if any connection I you just of So kind you the somebody you'd often just with these investigation to or successions, bring thoughts not? And Could between that's secondly, guess, making then, and

maybe bringing we on of internally Armando well, to bringing who back, someone know but kind up. as thoughts just So opposed

Yes. Thanks, Steve.

allegations distractions challenges, with the the went natural a with to and and that inflation, that media his connection. of toll supply said, to and Eric, had he gas all, commitment, year." gave X-year Eric with hurricanes retirement his a me year give your to connection, Eric stay the First at was we're end it would "look, you at a will lot you all Eric of Eric and high it of that me. XXXX, I and commitment Eric in the a on company. had satisfied about overcome, challenges on making first think year the through those first chain things, remarks. chosen conversation. prepared and took I question I And obviously, the all about when not on Jim, the prices But a we succeed talk I when was notice. the think and a

do look have -- than is, hoped I at it. wanted it's have I would to earlier way it's Eric And the it would a little

now, question FPL. bench very And a have to so second at at we deep I'm FPL, a deep going bench over your very

have Eric's that move We terrific role. lot into a we could of folks

a do very very, together will work regulatory good think, Christopher working has in think I of well. FPL. to will being the company. been roughly side to rate on friend a the transition. job of a for with FPL. I for customer individual Armando an tremendous get of team. and our and a just We're CEO have then to the a working he behalf all the a along, Armando financial is running bit us to of Chief meet great to back future terrific And think combination has future, -- Chapel. lot future. me. Christopher operations experience and have they bringing powerful as part is the chance to job of getting We respect And with for get has promoted needs Christopher that very on I who service. And do Christopher near him been know to ready He a And Officer in I Armando. XX with little have more working together He the will Operating team on particular, just side, Armando of with Armando think in I years. And to case. And as X I had outstanding the a will execute But bringing bright Christopher, he the you of him fortune the make

should Some be familiar of you to the past, have name our think of investors. that had some in a and that chance I

I to wanted Steve, well. just say Eric a as And words few

Steve, appreciate in a here perfect time. can bit. let jump me easy, these of there's Look, sure decisions little you because kind ever I'm are never and no

John time As year. transition hard year, I've line last a leadership John at a I I'd set. But here real be for been the least said, of with I that any have gave commitment Jim into will And been had had for for on year. predecessor for the in job XX been XX be This years. the XX years. job my going his my years. chair in XXth didn't

have And mean getting his to to plan you job in type is that's to, forward XX job case look of I multiyear kind another Lewis the rate Hay a as we're that and Before go had of ready cycle. approach. in that, for I been years. this ahead

And really I'm longer XXXX. go so, forward to committing to means

not easy. been in putting there touched forward right its were very do when how that's them, lot successfully and challenges really all job, to managed, good -- ever is it it's But of a proud but day the and moving decision John strong operational in factors XXXX. position company of team, in about that lot play. strongest and come I leadership it's a financial doing I is feel the time think but with it. a into I'm a it's handled really, XX-hour of of on So team we the challenges that the a

That's I getting question we've people. main been color. Great. the from that appreciate

backlog. seems the the thing wind -- main it credits leading excuse just backlog, big me, of in the wind to on just through higher give expectations you the other the So the as a of X driver color years, extension other expectations driving, the more is just like X or increase on what's on there's for next things that more 'XX? wind Could

decade in talking on the we've and now and the for It well, IRA Steve, the production it is the now the that. been fully. this it's beyond end end what it's is that. John time through decade, And exactly big this the and visibility, decade what wind through Rebecca, looking obviously through extensions about I'll it Kirk of frame, provisions, specifically incentives last highlighted IRA. change have and months now plus. But for likely credit exceptional of just a well of adding XXX% windows at tax through expectation in chime couple With we of now following

of backdrop supported highlighted green substantial renewables talked John the have what of also by all demand hydrogen also I the of to around about hydrogen credit, effects see And strong production follow-on renewables tax it's incentives about and And create on remarks thereafter. all. introduction in and his positive from to hydrogen-related starting and positive we're engagement a to through the products you

had conversations that development we're products hydrogen team can't the excited about be that's for is and storage we before, about. having busy So never talking more ahead. what's solar, And of the we've our and types wind,

Dumoulin-Smith Our Bank next from comes question from Julien America. of

[ career. your Maybe welcome It must came super of to here, like that ] when on the quick. I Murray changes just to related up follow feels on Congrats here, back XXXX back. Eric, stellar some Armando, just admit. bit a little in

of rate is the process pending internal balance here to that process terms in timing that upwards of alluded here? First then what you final the And alluded to the process related impacted guys cycle you bit at full to year the underway being this for FEC protracted. And that taking case all of had off, this is is as by committing little you to, X-K? the Armando a that, the

Yes.

and me take go ahead is Julien. Let This John. those,

Armando as first He's our all, with of coming President committed. -- Armando Armando. is So committed. of is CEO on FPL, and our back

at a having piece. sure team for X-X said, part it's into as May, there's that will ensure Officer and the inheriting first in a for there. And as industry. And So just strength again, in strength And a a relationships and easily, said, role, we're And over job team. role both good Eric terrific other already that. being building making let have and on help me that and of outstanding bench a I fortune that my Chapel, a FPL, say punch right I And the of able built I on through did team the that, have Christopher lot middle a with best Eric think staying the have thing great that up, going fortune say the taking That's will we combined quite of smooth as very belief, Armando or do all chance he's existing would just there. an own Eric, that that. to lead transition has Eric I Armando transition in too we of of Chief transition the organization. to a moving with and that I'll Operating on that's Christopher, step which job mention is the the good just to

you internal piece, about second the process The timing. and talked

First complete. time. of cover we all, let are more me I mean, one substantially just

further. Anybody everybody let even an file I be to FEC. the FEC is filed citizen we're in in FEC is. about I with process, proceeding found the with XX FEC FEC. interest with Commission more the decide the United can filed XX special are our we can a environment citizen the violation The any On formal But will a that up. a take understands a claim think authority. States side, this liable to file right of federal to not allegations believe not FEC my Election the being type on not is motion file for no of based investigate a solely we finance to few say any today, this the the given it civil should believe should second, in now. or just so exactly proceeding on take Federal group political there dismissal. the the said And words reports media regard has comments, what a or as complaint. There will they a reason a based campaign whether certainly FPL uptick that investigation. And just in is now. Florida FEC That's would do We where we claim that's A that expect And claims legal me would and process, claim The that like with months right complaint. enforcement

if the you you complaint the $X.X up different all X If they don't details add scenarios, They the complaint, read contributions million. those, in exceed scenarios. -- those

whole and have I a the so a federal that business. whole, And as not as when we look the as FEC believe do our FEC taken on would a impact at a said, the we allegations whole, as complaint material process

I just Got it. if then And super quickly, can.

with is quarter call the call, subsequent I'm update and the in from the about about periods? third the Can here, last 'XX. do about the on expectation Obviously, cognizant bit the of little the putting made a the what in customer orders in to seems trends? versus "now" through originations X.X comment down respect and feedback that overall since materializing, little comments this slides. the you pace just How think Just gigawatts quarterly bit a you you

Yes.

that, take Let Julien. me

part of central U.S. for they the that's are have has term the extremely as development I to a renewable the of at hydrogen we now, we The account, the is is remarks, ever. going that a of in sheet right around When facility right my look for organization the the strong. market interest didn't first I I green renewables opportunities hydrogen And on C&I fuel even strong a lot opportunities. The demand for the facility, we thing XXX-megawatt example. lot now in as say mentioned that significant. would signed is

just lot the a across of demand board. seeing are We

the see I gigs, put perspective, mean, end. we a I you XX my that company have high with I so been on you why think following the revised of for the expectations, that's And mean, I development in gosh, XX XX gigawatts those XX% Oh that a long total FPL's mean, time, that's last generation it to X-year uptick on the just is had. fleet set think, gigawatts.

to period, little XX hopefully, So provides that context. gigs -- and over color X-year a a

Guggenheim question Shar from comes Pourreza next from Partners. The

for to on actually the -- instead as Certainly, Shar. Constantine, here the wanted next the and that. best of Maybe It's just you've then IRA a question noted to And the front-end higher details on and demand specifically renewables. targets, just of step. of reach the of maybe doing cadence for I in the wish 'XX And having a those just Eric back-end quick follow-up appreciate loaded? on growth loaded, impacts maybe the some push Anything the there? pull

Constantine, it's Rebecca.

things on then the to and also momentum, development around expectations the increase in and chain months solar for over couple 'XX, 'XX. of ranges supply the for I lays best lot some through. last out to significant XX and Kirk that that is slide disruption in really the about, clarity 'XX of 'XX materials, the It's technology the think and resolution obviously, Slide going And the we're seen there's a the side. place into point and by it a went 'XX you that we've significant the talking and all 'XX of

exceptionally it origination So and and building highlighted side. strong John development remains is the momentum, so on as well, the

related we So our product see opportunities side. traditional the the and course, on everything hydrogen commercial excited And as I'm green businesses industrial about see burgeoning we that in sector. really of that and the then, as well

storage they're of exit related of the you do plan. on from solar opportunities, when kind a a -- upside on I on to kind repowering And have type note, an Excellent. thoughts starting any and know of repowering? that's make

side. other the on curious Just

little for there's as storage giving year to as we Yes. We're can is this bit will well a think we be -- point this And go a context, treasury but there's as battery timing. opportunities in looking on solar over They on some us repower looking as side. guidance that this certainly at from of complex, it. both well time more others the some through we're and be helpful as also projects

our ever day, really existing more of to side, more for we've also battery side, obviously, course, the today because opportunities integrated at variety of then some the the those opportunities we're of get portfolio. generation at wind to About of increase But our thinking mature our the investments the electrolysis includes hydrogen. differently years transmission on produce value to repowering. I will even able to hydrogen the That, looking to every existing of than X-plus as includes see across assets. And talk in seen to load It add opportunities transmission green So we're you making existing system operation team portfolio. horizon enhance the portfolio sizing before. adding And It years expand the be I on as XX projects, be a existing repowering. markets includes value the exciting around that opportunities, of to equipment storage. solar

the we incentives. So opportunities before had certainty and of around much clarity ever we've looking there's because the than forward tons so of more think

The comes Stanley. Morgan next question from David from Arcaro

if access comment this how experience for was executing has you any your see impacting you projects? there's panels year's law And solar UFLPA supply, just risk to development whether the could I plan? on been latest that wondering on with

is Dave, I'll Kirk. this Sure. take that.

work of of year, the disruption. speaks believe, chain they that time admirable supply around third and I shared put think the what the integrated we despite to challenges which of that earnings some on our quarter had X,XXX had as previously really highlighted is that the in highlighted, today, part challenging the as to service, positive still been third that ports had what ports. And panels to we improvement. around through call, you panels job. We So since was I that been that seen And detained, the highlighted call the year last was panels ability some worked a able challenges disruption in were we there, some as their certainly, we've and did megawatts. that the We've a being released. earnings the mentioned, really challenging have certainly into navigate call detained But spoke, the at XXXX. you I And on the to team was quarter detained -- and seen with that third the the we quarter trying with

as day I And movement, some it continue each to see movement. describe positive would positive so we

quarter, is to think the to our are cautiously optimistic The I working progress. monitor We're we are So closely. it compared were third we that But we're with watching team actively in continuing where suppliers monitoring continuing it. we and seeing it. to

perspective, feel to manage of our continuing our to from in can customers. least terms we continue at that And it's we like for deliver something

on Okay. starting in green the green to was the in Great. plan you of demand program, is expected in hydrogen Like the And for wondering are weave of yet? on development XXXX, on starting the I impact point? back end renewables hydrogen from renewables renewables kind an outlook, have demand terms -- if to at that influencing of

call, opportunities number tell starting It's among out -- from expectations what setting practical right folks. it Rebecca, been we partner with this them, it really development about I others folks Linde, very very as standpoint, today to you development certainly it's all. when something key of considered opportunities the it's a laid as a project now term put to we is point, hard talking and well you XXX-megawatt a but really coming and market. for weeks were We're put are the can at, something that COD there promise that we're we've technology we bring that obviously to to ourselves a the conversations in to talked excited really and on including it's included, working XXXX. At to projects of about, but we the much think show we up but signed looking forward reality. expected is that forward the be terrific in would in I that recent sheet together, for this active about the

as as have probably more opportunity is into going for equipment related up the side earlier ramp-up of significant ramp of end what for I products. see the to hydrogen the there's think related we well those ultimately other decade, where a will green on and is of supply electrolyzers some 'XX

number shape ultimate is IRA starting establishing I as really exciting working and But ultimately after the customers for the these were through passed everything a As well to months law. the now, and development into provisions really see products. opportunities take just of

Thank our conference attending today's for now concludes This you question-and-answer session, presentation. has concluded. and the

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